Haulage rate increase is expected to hit the economy – The Haulage rate from the ports of Kingston for delivery island-wide has increased. The increase which has been stalled since the year 2017, has rocked the body whose members have been forced to absorb the costs even in the COVID-19 pandemic.
However, Local Economist, Ralston Hyman says the increase will ultimately lead to a hike in the cost of goods during the health crisis, as truckers say they can no longer absorb the extra cost of transporting merchandise. Almost four years later, and a Haulage rate increase pending since 2017 is finally in effect.
General Manager for the Port Trailer Haulage Association Ricardo Valentine says his members have been absorbing the extra cost for years.
But with an additional three years of inflationary costs, coupled with the continued slow turn-around time at the terminal, the port haulers; in order to remain viable, are left with no alternative but to implement the May 2017 recommended rates.
The rates depend on the destination. Hauling goods from port to the corporate area has the least cost of $136 US since the distance is shorter.
However, the rate to take goods to the other end of Jamaica such as Negril will attract a cost of up to $1736 US.
